Bill S406-2011

Relates to unlawful tenancies under the emergency tenant protection act of 1974

Relates to unlawful tenancies under the emergency tenant protection act of 1974; prohibits owners from entering or renewing leases where such owner has reason to know that such tenant will not occupy the housing accommodation as his or her primary residence.

Details

Actions

  • Mar 12, 2012: COMMITTEE DISCHARGED AND COMMITTED TO RULES
  • Feb 21, 2012: NOTICE OF COMMITTEE CONSIDERATION - REQUESTED
  • Jan 4, 2012: REFERRED TO HOUSING, CONSTRUCTION AND COMMUNITY DEVELOPMENT
  • Jan 5, 2011: REFERRED TO HOUSING, CONSTRUCTION AND COMMUNITY DEVELOPMENT

Memo

BILL NUMBER:S406

TITLE OF BILL: An act to amend the emergency tenant protection act of nineteen seventy-four and the administrative code of the city of New York, in relation to leasing to business and other entities

PURPOSE OR GENERAL IDEA OF BILL: To require that the primary resident of a rent-regulated unit be a natural person.

SUMMARY OF SPECIFIC PROVISIONS: Section 1 amends the Emergency Tenant Protection Act of 1974, adding a new section 5-b, requiring that a Rent Stabilized unit be occupied as a primary residence by a natural person. If the tenant is a corporate or other entity, the occupant must be a natural person who is a current or retired employee of the entity.

Section 2 amends the Emergency Tenant Protection Act of 1974 § 12 (a) (3) (i), authorizing the commissioner to impose civil penalties on Parties that violate section 1 of this act.

Section 3 amends the Administrative Code of the City of New York §26-S12, adding a new subdivision d, prohibiting a landlord from knowingly renting a rent-regulated unit to a person or entity that is not using the accommodation as a primary residence.

Section 4 amends the Administrative Code of the City of New York §26-516 (c) (1), authorizing the commissioner to impose civil penalties on parties that violate section 3 of this act.

JUSTIFICATION: There is a growing problem of landlords renting apartments to companies that in turn rent them out to transients (tourists, short-stay occupants) as illegal hotel rooms. This bill would require that rent regulated apartments be used for residential purposes.

The purpose of rent regulation is to protect the stock of affordable housing for permanent residential purposes. The practices this bill would end undermine the affordable housing market.

Current law allows a landlord to evict a tenant from a rent-regulated apartment if it is not the tenants primary residence. But a landlord is currently not barred from renting a rent-regulated apartment for non-primary residence.

PRIOR LEGISLATIVE HISTORY: 2010: S.8283/A.9832-B The provisions of this bill wre part of A.6013 of 2009.

FISCAL IMPLICATIONS: None.

EFFECTIVE DATE: This act shall take effect after sixty days.


Text

STATE OF NEW YORK ________________________________________________________________________ 406 2011-2012 Regular Sessions IN SENATE (PREFILED) January 5, 2011 ___________
Introduced by Sen. KRUEGER -- read twice and ordered printed, and when printed to be committed to the Committee on Housing, Construction and Community Development AN ACT to amend the emergency tenant protection act of nineteen seven- ty-four and the administrative code of the city of New York, in relation to leasing to business and other entities THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Section 4 of chapter 576 of the laws of 1974 constituting the emergency tenant protection act of nineteen seventy-four is amended by adding a new section 5-b to read as follows: S 5-B. TENANCY. NOTWITHSTANDING ANY INCONSISTENT PROVISION OF THIS ACT OR THE PROVISIONS OF ANY CONTRACT, LEASE OR RENTAL AGREEMENT, NO OWNER OR ANY AGENT THEREOF SHALL ENTER INTO A LEASE, OR OTHER RENTAL AGREEMENT FOR OCCUPANCY OF A VACANT HOUSING ACCOMMODATION SUBJECT TO THIS ACT IF THE OWNER OR ANY AGENT THEREOF HAS REASON TO KNOW THAT THE TENANT WILL NOT OCCUPY THE HOUSING ACCOMMODATION AS HIS OR HER PRIMARY RESIDENCE, OR THE TENANT IS A CORPORATION, PARTNERSHIP, OR OTHER BUSINESS OR NOT-FOR- PROFIT ENTITY, PROVIDED, HOWEVER, IF THE TENANT (I) IS A NOT-FOR-PROFIT CORPORATION, PURSUANT TO THE NOT-FOR-PROFIT CORPORATION LAW, THAT IS SOLELY ENGAGED IN ACTIVITIES TO PROVIDE HOUSING AND ADDITIONAL SUPPORT SERVICES, IF ANY, TO LOW-INCOME OR VULNERABLE MEMBERS OF THE POPULATION, AS DETERMINED BY THE COMMISSIONER OF THE DIVISION OF HOUSING AND COMMU- NITY RENEWAL, OR (II) IS A CORPORATION, PARTNERSHIP OR OTHER BUSINESS THAT IS PROVIDING AN OFFICER, PARTNER, EMPLOYEE OR OTHER NATURAL PERSON PARTICIPATING IN THE DAY-TO-DAY OPERATIONS WITH A DWELLING UNIT, WHICH SHALL BE OCCUPIED AS THE INDIVIDUAL'S PRIMARY RESIDENCE, AN OWNER OR AGENT THEREOF MAY ENTER INTO A LEASE, OR OTHER RENTAL AGREEMENT FOR OCCUPANCY OF A VACANT HOUSING ACCOMMODATION SUBJECT TO THIS ACT.
S 2. Clause (i) of paragraph 3 of subdivision a of section 12 of section 4 of chapter 576 of the laws of 1974 constituting the emergency tenant protection act of nineteen seventy-four, as amended by chapter 480 of the laws of 2009, is amended to read as follows: (i) to have violated an order of the division OR SECTION FIVE-B OF THIS ACT the commissioner may impose by administrative order after hear- ing, a civil penalty in the amount of one thousand dollars for the first such offense and two thousand dollars for each subsequent offense; or S 3. Section 26-512 of the administrative code of the city of New York is amended by adding a new subdivision g to read as follows: G. NOTWITHSTANDING ANY INCONSISTENT PROVISION OF LAW OR THE PROVISIONS OF ANY CONTRACT, LEASE OR RENTAL AGREEMENT, NO OWNER OR ANY AGENT THERE- OF SHALL ENTER INTO A LEASE, OR OTHER RENTAL AGREEMENT FOR OCCUPANCY OF A VACANT HOUSING ACCOMMODATION SUBJECT TO THIS CHAPTER IF THE OWNER OR ANY AGENT THEREOF HAS REASON TO KNOW THAT THE TENANT WILL NOT OCCUPY THE HOUSING ACCOMMODATION AS HIS OR HER PRIMARY RESIDENCE, OR THE TENANT IS A CORPORATION, PARTNERSHIP, OR OTHER BUSINESS OR NOT-FOR-PROFIT ENTITY, PROVIDED, HOWEVER, IF THE TENANT (I) IS A NOT-FOR-PROFIT CORPORATION, PURSUANT TO THE NOT-FOR-PROFIT CORPORATION LAW, THAT IS SOLELY ENGAGED IN ACTIVITIES TO PROVIDE HOUSING AND ADDITIONAL SUPPORT SERVICES, IF ANY, TO LOW-INCOME OR VULNERABLE MEMBERS OF THE POPULATION, AS DETER- MINED BY THE COMMISSIONER OF THE DIVISION OF HOUSING AND COMMUNITY RENEWAL, OR (II) IS A CORPORATION, PARTNERSHIP OR OTHER BUSINESS THAT IS PROVIDING AN OFFICER, PARTNER, EMPLOYEE OR OTHER NATURAL PERSON PARTIC- IPATING IN THE DAY-TO-DAY OPERATIONS WITH A DWELLING UNIT, WHICH SHALL BE OCCUPIED AS THE INDIVIDUAL'S PRIMARY RESIDENCE, AN OWNER OR AGENT THEREOF MAY ENTER INTO A LEASE, OR OTHER RENTAL AGREEMENT FOR OCCUPANCY OF A VACANT HOUSING ACCOMMODATION SUBJECT TO THIS CHAPTER. S 4. Paragraph 1 of subdivision c of section 26-516 of the administra- tive code of the city of New York, as amended by chapter 480 of the laws of 2009, is amended to read as follows: (1) to have violated an order of the division OR SUBDIVISION G OF SECTION 26-512 OF THIS CHAPTER the commissioner may impose by adminis- trative order after hearing, a civil penalty in the amount of one thou- sand dollars for the first such offense and two thousand dollars for each subsequent offense; or S 5. Severability. If any provision of this act, or any application of any provision of this act, is held to be invalid, that shall not affect the validity or effectiveness of any other provision of this act, any other application of any provision of this act, or any other provision of any law or code amended by this act. S 6. This act shall take effect on the sixtieth day after it shall have become a law; provided that: (a) the amendments to the emergency tenant protection act of nineteen seventy-four made by sections one and two of this act shall expire on the same date as such act expires and shall not affect the expiration of such act as provided in section 17 of chapter 576 of the laws of 1974; and (b) the amendments to sections 26-512 and 26-516 of the administrative code of the city of New York made by sections three and four of this act shall expire on the same date as such sections expire and shall not affect the expiration of such sections as provided in section 26-520 of such code.

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